Comment by anonzzzies

I used to do site/vps hosting (millions of sites); we just bought slightly older 1U rack servers off ebay (and later our rack neighbour in the hosting room, who always had to buy the latest for his clients allowed us to buy of him) and kept filling local racks. We paid for a large bad quality bandwidth pipe for the large bandwidth eaters and good quality for the smaller traffic properties; we served some % of traffic per host through the good and after that through the bad. The porn / warez or whatever people didn't care and the business or hobby folk were happy as well.

In the end it got too much work with that many servers, something is always broken ; we had some virtualisation and failover stuff, but you have to go and repair it. We were basically two fulltime guys + some freelance and that meant getting into a car and driving for an hour every other day, storm or ice on the roads, christmas or birthday, doesn't matter. It made good money and we sold nicely, but servers are loud and we have been so often there for hours that even with ear protection I think it messed something up. Also crawling in small spaces for wiring etc isn't great for your body. I did learn a lot about Linux and the popular packages; we had our own patches and versions of most to shield from 0-days and save processing waste to put more on one machine without it degrading quality.

I would not do it with reselling ; you have no control; when the police called us for illegal/child materials and so on, we were in charge of removing/blocking that; if you resell, they will likely first just shutdown everything you have and then ask you for an explanation. And after a few time delete you and that's it. Or when there is something wrong technically, you are left holding the bag anyway as many will just blame you (and then after 'some time' your service 'suddenly' is back). You can hire much more expensive stuff with much better support but in our experience, that does not help much when there is a LOT of abuse (and with millions of sites, you have a lot of abuse that you cannot check).

It's fun though; just too much work.